Summary
American Tower Corporation (AMT) operates as a leading global independent owner, operator, and developer of multitenant communications real estate. The company's primary revenue stream, accounting for 98% of total revenue in 2015, comes from leasing space on its communication sites to wireless service providers and other industries. AMT's portfolio consists of 100,615 communications sites globally, with a significant presence in the U.S., Asia, EMEA, and Latin America. The company has demonstrated a strategy of growth through significant acquisitions, including a major transaction with Verizon in the U.S. and an acquisition in Nigeria. AMT also manages its operations as a Real Estate Investment Trust (REIT), generally exempting it from U.S. federal income taxes on REIT-qualified income, though it remains subject to taxes on earnings from its domestic taxable REIT subsidiaries and all international operations. In 2015, AMT continued its expansion through strategic acquisitions and financing initiatives aimed at supporting its operational strategy of increasing site occupancy, selectively growing its portfolio, improving operational performance, and maintaining a strong balance sheet. The company's financial results in 2015 were significantly impacted by these acquisitions, particularly the Verizon transaction. AMT's business model is characterized by long-term tenant leases with contractual escalations, consistent demand driven by wireless usage growth, high lease renewal rates, and strong operating margins, contributing to predictable organic revenue growth.
Financial Highlights
54 data points| Revenue | $4.77B |
| SG&A Expenses | $497.80M |
| Operating Expenses | $3.16B |
| Operating Income | $1.61B |
| Net Income | $685.10M |
| EPS (Basic) | $1.42 |
| EPS (Diluted) | $1.41 |
| Shares Outstanding (Basic) | 418.91M |
| Shares Outstanding (Diluted) | 423.01M |
Key Highlights
- 1In 2015, American Tower Corporation significantly expanded its global communications site portfolio, notably through the acquisition of 11,449 sites from Verizon in the U.S. and 4,716 sites in Nigeria.
- 2The company is a leading global REIT specializing in multitenant communications real estate, with a portfolio of 100,615 sites as of December 31, 2015, diversified across the U.S., Asia, EMEA, and Latin America.
- 3Property operations, primarily site leasing, constituted 98% of total revenues in 2015, supported by long-term leases with contractual rent escalations and high renewal rates.
- 4AMT maintains a focus on increasing site occupancy and selectively growing its portfolio through acquisitions and new site development to capitalize on growing wireless data usage and network expansion.
- 5The company utilized various financing transactions in 2015, including public offerings of common and preferred stock and senior unsecured notes, to fund its strategic acquisitions and maintain financial flexibility.
- 6Operating income grew in 2015, primarily driven by increases in U.S., Asia, and EMEA property segment revenues, largely due to new sites acquired.
- 7As a REIT, AMT is generally not subject to U.S. federal income taxes on REIT-qualified income, but international operations are subject to local taxation, and income from domestic taxable REIT subsidiaries is taxed.